The Board of Governors of the Federal Reserve System recently issued a Consent Order against Peoples Bank, based in Lawrence, Kansas, to settle claims of deceptive residential mortgage origination practices that arose from the bank’s charging of fees in mortgage originations. The Federal Reserve alleged that Peoples told mortgage borrowers that certain additional fees that
Tax Preparation Firm Settles FTC Claims Flowing from Data Breach
On November 8, the Federal Trade Commission announced that it had approved a final order settling claims arising out of a data breach at Georgia-based tax preparation firm TaxSlayer, LLC.
In late 2015, hackers hit TaxSlayer with a “list validation” or “credential stuffing” attack. With that type of attack, hackers attempt to use login credentials
FTC Settles Lawsuit with Company that Promotes Post-Secondary Schools to Military Families
The FTC has reached a proposed consent agreement with Victory Media, Inc., resolving allegations that Victory violated Section 5 of the FTC Act. The allegations stem from Victory’s promotion of post-secondary schools to members of the armed forces.
Victory advertises to members of the armed forces in a variety of ways, including through its publications
New York AG Announces Settlements with Two Motor Vehicle Dealer Groups
New York Attorney General Eric Schneiderman announced two settlements with motor vehicle dealer groups that provide for over $900,000 in restitution to approximately 6,400 New York State consumers. The settlements also require the dealers to pay $135,000 in penalties and costs to the state for the unlawful sale of credit repair and identity theft protection
FTC and State AGs Announce Crackdown on Student Loan Debt Relief Scam
The Federal Trade Commission, along with 11 states and the District of Columbia, just announced “Operation Game of Loans.” This is the first coordinated federal-state initiative targeting deceptive student loan debt relief scams. The nationwide crackdown encompasses 36 actions by the FTC and state attorneys general against bad actors that are alleged to
FTC and State AGs to Announce Major Coordinated Consumer Fraud Enforcement Initiative
The Federal Trade Commission (FTC) issued a press release earlier today alerting the media and other interested parties that it will announce a “major coordinated consumer fraud enforcement initiative” Friday, October 13 at 11:30 a.m. EST.
The Acting Director of the FTC’s Bureau of Consumer Protection, Thomas Pahl, and Illinois Attorney General Lisa Madigan will
FTC Says Its Focus Must Be on Instances of Real Harm to Consumers
In a September 19 speech at the Federal Communications Bar Association in Washington, FTC Acting Chairman Maureen K. Ohlhausen stated that the Commission should focus on addressing instances of “substantial consumer injury” in deciding which cases to pursue. Echoing (intentionally or not) the language of the Supreme Court’s foundational decision in Spokeo, Inc. v. Robins
FTC Cracks Down on Social Media Advertising in First-Ever Action Against Individual Social Media Influencers
The Federal Trade Commission settled its first-ever action against individual social media influencers for failing to disclose connections to brands the influencers endorsed. The action – against Trevor Martin (also known as “TmarTn”), Thomas Cassell (also known as “Syndicate”), and CSGOLotto, Inc. – alleged that Martin and Cassell endorsed CSGOLotto on their social media pages
FTC and Debt Collector Agree to Defendant Leaving Debt Collection Practice
On August 24, the United States District Court for the Western District of New York entered a Stipulated Order for Permanent Injunction and Monetary Judgment against the last of a group of defendants who engaged in banned debt collection practices. The defendant, Anthony Coppola, is now barred from debt collection activities, misrepresenting material facts of
FTC Charges Deceptive Debt Collectors in Intimidation Scheme; Court Enters Temporary Restraining Order
On August 21, the Federal Trade Commission charged a North Carolina debt collection operation with using deception and intimidation to collect money from consumers for debts they did not owe or that the group had no right to collect. On August 24, the District Court for the Western District of North Carolina granted a temporary